Question 1

What is SPA, and how is it different from USDs?

Accepted Answer

SPA is the value-accrual token of the Sperax ecosystem, not a stablecoin pegged to the U.S. dollar. Official materials describe it as follows: holders can lock SPA to receive veSPA, then use veSPA to participate in Sperax governance and obtain a share of staking rewards. SPA’s value-accrual design is connected to the USDs protocol, but the two have different functions. USDs is a stablecoin yield-aggregation product deployed on Arbitrum; SPA/veSPA is used to distribute staking rewards and influence governance decisions on matters including USDs parameters, yield strategies, and collateral.

Question 2

What is veSPA received after locking SPA?

Accepted Answer

After locking SPA, users receive veSPA; veSPA is non-transferable. Its balance is proportional to the lockup period: assuming the same quantity of SPA is locked, choosing a longer lockup period results in more veSPA. veSPA is not another freely tradable reward token, but a weight credential corresponding to the locked state. This weight determines both the user’s share of the staking reward pool and the basis of governance voting power, so increasing the locked quantity or extending the lockup period affects both weights.

Question 3

How are SPA staking rewards generated and distributed?

Accepted Answer

SPA staking rewards are allocated according to the ratio of a user’s veSPA balance to the total veSPA balance and accrue weekly. This can be summarized as: a user’s reward share for a given period = that user’s veSPA ÷ total veSPA × distributable rewards for that period. This formula describes the allocation ratio and does not promise a fixed annualized return. Sources of rewards for a given period include fee income generated from USDs minting and redemption, as well as xSPA emissions from the treasury. Official materials state that related yield and fees are initially generated in USDs, then converted into SPA and distributed to stakers; the xSPA emissions described in SIP-66 are 420,000 tokens per week. The actual amount obtainable also varies with the total rewards for the period, network-wide veSPA, and the user’s own veSPA.

Question 4

Why do veSPA, reward weight, and voting power decline over time?

Accepted Answer

A veSPA balance does not remain unchanged throughout the lockup period, but decreases linearly over time, so the weekly reward weight and governance weight of the same lock also gradually decline. Users can increase their veSPA balance by adding locked SPA, extending the lockup period, or restaking SPA rewards. The balance after the lockup period ends depends on the exit method selected in advance: under the automatic cooldown option, veSPA falls to zero; under the manual cooldown option of “continue staking,” veSPA falls to 0.01917 times the amount of staked SPA. Official materials also state that new stakers cannot use the “continue staking” option.

Question 5

How does veSPA participate in Sperax governance?

Accepted Answer

veSPA holders can participate in decision-making through Sperax’s off-chain Snapshot governance. Official materials list topics including USDs protocol parameters, yield strategies, acceptable collateral, and new product features. The weight here comes from veSPA rather than being calculated directly from an unlocked SPA balance. Official documentation describes on-chain governance as a future plan and it must not be treated as a feature that has already launched. When reviewing a specific proposal, users should also confirm whether it is under discussion, being voted on, has passed, or is being executed, and follow the rules and time window of that Snapshot round.

Question 6

Why is SPA’s circulating supply not equal to the sum of on-chain balances?

Accepted Answer

The official circulating-supply calculation does not simply add SPA balances on a given chain. Its methodology is: total Ethereum SPA + total Arbitrum SPA + total Ethereum wSPA, less wSPA locked in the Arbitrum bridge, SPA held by major wallets, and SPA locked in the SPA Staking Protocol. The purpose of this methodology is to avoid double-counting cross-chain wrapped representations of the same asset and to exclude balances that are bridge-locked, held by major wallets, or locked in staking and are not considered circulating under this methodology. Therefore, total supply, balances on each chain, wrapped-token balances, and circulating supply cannot be directly interchanged.

Question 7

How should SPA’s allocation and vesting arrangements be understood?

Accepted Answer

SPA’s initial allocation includes categories such as the treasury, foundation, initial liquidity, staking rewards, team and advisors, and private sale; these categories have different lockup and vesting arrangements. For example, official documentation states that the treasury allocation unlocks linearly over four years from the start of the governance protocol, while the team and advisor allocation has a six-month cliff followed by four years of linear vesting. These arrangements describe when tokens move from specific allocation or locked states into a disposable state; they do not automatically indicate when those tokens will enter market trading. When evaluating supply, initial allocations, lockups, vesting, cross-chain status, staking locks, and the actual market-tradable quantity should be considered separately.

Question 8

Has SPA undergone token burns, and what do they mean?

Accepted Answer

The Sperax Foundation burned a total of 375,000,000 SPA in 2022: 250,000,000 in May and 125,000,000 in September. This record is a supply-handling event that has already occurred. A burn reduces the quantity corresponding to the burned tokens, but it does not establish that burns will continue in the future or directly imply a price outcome. To assess its significance, it should also be distinguished from other supply factors such as subsequent lockups, unlocks, staking, and cross-chain balances.

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